Market Update fourth quarter 2024

In the fourth quarter of 2024, the Dutch economy shows stable growth, with GDP expected to have reached 1.7% in Q4. Higher wages led to higher disposable household income, but consumer sentiment decreased, whilst geopolitical uncertainties remain a risk.

The retail sector sees increasing investment dynamics, positive market rental value growth, and expansionary retailers, particularly in major city centers and dominant convenience centers, while other retail segments face challenges.

The housing market is on a positive trajectory with rising house prices and a recovering rental investment sector, where persistent market tightness and strong demand continue to exert pressure. All driving investment growth.

In the office market, national vacancy rates slightly increased, while most G5 cities experience historically low vacancy levels. This results from ongoing polarization, where high-quality G5-IC locations are becoming increasingly desirable.

Selected science parks show risk premiums that remain slightly lower than that of offices. The focus on sustainability and innovation strengthens demand for high-quality R&D and laboratory spaces.

The agricultural sector is seeing rising farmland prices and a focus on innovation and sustainability, while uncertainties surrounding policies, cost increases, and diseases put pressure on farmers’ confidence.

The renewable energy market benefits from government measures aimed at energy independence and sustainability. Electricity prices are expected to rise due to geopolitical factors and unplanned LNG outages.